The trade feedback effect is one argument for:
A)increased tariffs and quotas.
B)decreasing a nation's imports.
C)international trade associations.
D)free trade agreements.

Question

Quizplus · Accepted Answer

The trade feedback effect refers to the positive impact on a nation that occurs when it increases its exports, resulting in increased demand for its products and potentially leading to increased economic growth. This effect can be maximized through free trade agreements, which reduce trade barriers and promote increased trade between nations. Therefore, free trade agreements would be the best choice based on the trade feedback effect argument.

The Trade Feedback Effect Is One Argument For